News

On 28 April 2020, the International Monetary Fund organised an online presentation of the Spring 2020 IMF Regional Economic Outlook (REO) for the Caucasus and Central Asia (CCA) by Jihad Azour, Director, Middle East and Central Asia Department, International Monetary Fund.

The presentation was followed by a discussion with:

• Koba Gvenetadze, Governor, National Bank of Georgia

• Kairat Kelimbetov, Governor, Astana International Financial Center

The Caucasus and Central Asia (CCA) region is being strongly affected by COVID-19 and the sharp decline of global oil prices. There are significant uncertainties about the duration, depth, and spillovers from the two shocks, with concerns about job losses, fiscal and foreign exchange buffers, debt, financial institutions, and loss of progress in reforms to business environments, regional integration, and diversification.

According to the report, “the economic impact will be substantial, with the region contracting in 2020 by an average of 3.1 percent. Most countries have revised growth down by more than 4 percentage points in one year, equivalent to removing $425 billion from the region’s total output. For nearly all countries, these revisions are higher than those seen during the global financial crisis in 2008 and the oil price shock of 2015.”